Leumi UK has provided a £43.7 million loan to an SPV of Fattal Hotel Group, which will be used to help fund the acquisition and refurbishment of the Grand Brighton Hotel.
The five-star property is located adjacent to the beach in one of the UK’s most popular seaside resorts.
Fattal Hotel Group is one of Israel's largest hotel organizations, with 253 hotels spread over 20 countries. It owns and operates brands including NYX, Leonardo Hotels and Jury’s Inn.
Cushman and Wakefield acted as valuers while DLA Piper acted as Leumi UK’s legal counsel.
Why it matters
Leumi UK have proved to me one of the most active lenders in the hospitality space over recent month and this deal further underscores its commitment to the sector. It’ll be interesting to see how the refurbishment goes given the amount of capital usually required to transform these older assets.
What they said
Liam Mullans, relationship director at Leumi UK, said: “We are pleased to have been able to provide Fattal Hotel Group with numerous successful facilities over the years, and during that time we have developed a strong relationship which has helped us to better understand their goals and work more expeditiously to support their ambitions. That relationship helped us to execute this deal in a swiftly manner, with approval post credit taking just 8 weeks.”
Guy Vardi and Yaniv Amzaleg of Fattal Hotel Group said: “We were delighted to partner with Leumi UK on the acquisition of this iconic hotel. The Hotel is a perfect fit with the rest of our Limited Edition Hotels in the UK which include the Midland Manchester Hotel and the Dilly Hotel in London Piccadilly. We have big plans for the hotel and will now start planning the extensive renovation program. The Grand Brighton hotel is the 18th hotel we acquired in the last 12 months together with our institutional investors in the Fattal European Partnership, with a transaction volume of more than 800m Euros.”